undecended testicle?

it sounds like an undescended testicle and if it it popping out like that it should be no problem when he is nueutered...Its the ones that you cant feel or see that are the problems...if thats wht it is, tis no problem--the sooner the better though

anychance that it will drop? i dont plan on getting him nuetured

It is perfectly normal.  It is called the bulbous gland. It facilitates the tie during breeding.   

Per my vet, yeah, they can still drop.  I'm waiting on a 9 month old gsd to drop so I can have him nuetered. It's  a less invasive surgery when they are down.  If they DON'T drop, you have no choice....those retained testicles can turn cancerous.
 
Unless you are planning to show him, why wouldn't you nueter him and make his life more comfortable?

My dog Pepe had an undescended testicle and it never dropped, but thankfully when we got him neutered the just pushed it down so the didn't have to make more that just the normal neutering incision.  But like Glenda said if it doesn't drop you really have no choice to neuter or not because it can turn cancerous.  With my dog you could feel where the other one was (kind of a little lower than his stomach), unless you already know where it is. 

Benita is correct, that is his bulbous gland (the hardness at the base of his penis when he gets excited).  Perfectly normal.
 
Does he have an undecended testicle, or is that what you were asking?  At this age, it is very unlikely it will drop if that is the case.  It could happen, but most likely it won't.
 
Is there any reason why you don't wish to have him neutered?  I'm not trying to start anything, I'm just curious.  Has your vet not brought up problems related with having an intact dog, especially one with a possibly undescended testicle? 
 
Dogs who are a cryptorchid (neither testicle has descended) or a monorchid (only one has descended) have a much, much, much higher rate of developing testicular cancer than a dog who has both testicles descended, or, even better, than one who is neutered (who has no chance of testicular cancer).  A dog whose testicle(s) do not drop should never, ever  be bred because that is a trait they will pass on to their male offspring- it is unethical to breed a dog with an undescended testicle.
 
Unless you are planning to show him, which can't be done if only has one testicle, there is no reason to keep him intact.  It would be in his best interest to have him neutered.